Critical-mineral stocks rise as US government boosts support to reduce China reliance.

Stocks in critical-mineral companies like USA Rare Earth and MP Materials rose significantly amid growing investor interest in the US supply chain for rare earth elements. This surge reflects broader government initiatives investing billions to develop domestic mining, processing, and magnet manufacturing capabilities, aiming to reduce dependence on China, which currently dominates global rare-earth processing. USA Rare Earth is in early stages developing a vertically integrated supply chain in Texas, while MP Materials operates an established facility in California and is expanding downstream operations. The sector's growth depends on converting government support into profitable production, with investors advised to weigh risks, especially in earlier-stage companies.